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0 pointsmtlynch5y ago0 comments

A $3.7M windfall is enough for most Americans to never work again.

Assuming he keeps ~$3M after taxes and can earn a conservative return of 4%/yr in investments, that's $120k/yr just from his investments. Many Americans live on far less. Also, he lives in Alabama, where cost of living is quite low.

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andygcook5y ago

It’s highly likely he gets to keep all or most of the $3.7M under the Qualified Small Business Stock (QSBS) tax exemption.

simonebrunozzi5y ago

Exactly. He will only pay state tax in Alabama on the capital gain. I think it's in the range of 3% to 4%, but I might be mistaken.

For reference, in California it is ~10%.

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